Tink completes €85 mn investment round extension

By Megha Bhattacharya

Open banking platform Tink today announced that it has completed an €85 million investment round extension, following its €90 million investment round in January. This investment brings the total funding secured by Tink, during 2020, to €175 million. The investment round was co-led by European growth equity player Eurazeo Growth, and current investor, London-based B2B software venture capital firm Dawn Capital. The round also saw the participation of existing investors such as PayPal Ventures, HMI Capital, Heartcore, ABN AMRO Ventures, Poste Italiane and BNP Paribas’ venture arm, Opera Tech Ventures.

The company, with the funding, aims to accelerate its payment initiation technology development as well as enable European companies to integrate low-cost payment solutions.

Daniel Kjellén, co-founder and CEO of Tink, said, “Despite the difficulties of 2020, it was a year of great growth for Tink. We significantly built out our bank connections across Europe, increasing coverage from 2,500 to 3,400 banks, and now serve more than 300 world-leading financial institutions. We also doubled the fintech users on our platform to 8,000 and increased employees from 250 to 365, in 13 offices across Europe.

“2020 has seen payments powered by open banking take-off, and in 2021 we expect to see this scale – most prominently in the UK, followed by Europe. This funding extension will further facilitate the development of our payment initiation services across Europe, while continuing to deliver new data-products built on open banking technology to our customers.”

Recently, French mobile payment app Lydia selected Tink with an aim to utilise access to PSD2 APIs across Europe. The companies have joined forces to work on boosting bank account connectivity for improving the app’s user experience. The new open banking connectivity will be released in the coming weeks.

Zoé Fabian, Managing Director of Eurazeo Growth, added, “The open banking movement continues to pick up pace, with 2021 showing every sign that it will bring increased collaboration between fintechs and large enterprises, who want to take digitally enabled services to their customers with a tried and trusted partner. Since its inception eight years ago, Tink has proven itself to be the leading open banking platform in Europe, and our investment underlines the confidence we and the industry have in Tink and open banking. We look forward to supporting them on their continued journey.”